Clean Water Affordability Act

The Clean Water Affordability Act aims to address the rising costs of water and sewer services for American households. The bill proposes to modify the rules governing how states distribute money from the Clean Water State Revolving Fund, a major federal-state partnership that provides low-cost financing for water quality infrastructure. Specifically, it would increase the amount of funding states can provide as "additional subsidization"—such as grants or principal forgiveness—to help disadvantaged communities and individual ratepayers manage the financial burden of maintaining clean water services.

If enacted, the legislation would require states to dedicate a larger portion of their federal grants toward direct financial assistance for residents, potentially setting a minimum requirement of 20% for such aid. It also seeks to give states more flexibility in determining which communities qualify for this extra help. By reducing the amount of debt local governments must take on for mandated water upgrades, the bill aims to prevent steep hikes in monthly utility bills, making essential wastewater services more affordable for low-income families and struggling municipalities.